American singer and actress Selena Gomez is facing a lawsuit from investors who allege that they were misled about the business prospects and operations of her mental health startup, Wondermind.
The lawsuit, filed in federal court in Delaware, concerns Wondermind Global, a company co-founded by Gomez in 2021 with the stated aim of helping people improve their mental fitness.
According to the investors, nearly $1.2 million was invested in the company in 2022 after they were given assurances about Gomez’s involvement, the company’s growth prospects and planned business initiatives.
Gomez was identified as a co-founder, chief impact officer and head of marketing. The investors allege that they expected her public profile and social media reach to play a significant role in promoting and developing the company.
The lawsuit claims that several initiatives discussed with investors, including potential partnerships, advertising arrangements and a planned mobile application, failed to materialise. Investors also allege that they were not adequately informed about the company’s financial and operational difficulties.
The case also names Gomez’s mother, Mandy Teefey, and former business partner Daniella Pierson. Teefey has denied allegations concerning the use of investor funds for personal expenses.
The investors are seeking to recover their investment along with damages and legal costs. Gomez has not publicly responded to the allegations at the time of reporting.
The allegations contained in the lawsuit have not been proven in court, and the filing does not establish wrongdoing by Gomez or the other defendants.
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